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Discussion Starter · #1 ·
We have one 4 head machine.

We have a contract customer that is starting to give us a lot of work, mostly moving from there existing embroiderer to us.

This particular job is for EMT jumpsuit backs. All words. Fill stitch w/satin border around all letters. Just over 50k stitches.

The previous company was charging $12 which is just absolutely insane. We are working on changing to a thinner font utilizing just satin stitches which would get us closer to 20k but so far they are insisting on matching the existing sew outs.

Where would you be for a 50k design, 40 pieces, contract pricing. There is no way we are do it for $480 for 2 full days of sewing :)
 

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The reality is that there are some jobs you just have to turn down. if the client won't accept an alternative (potentially lower quality or lower density) solution, and they expect you to meet or lower their current price, then you either have to do it and try and make up the margin with other types of work you can do for them; or you just have to hold your pricing and tell them it's the best you can do.

My question to you is: Why are they leaving their current decorator? The answer to that question alone could give you leverage on your price. Missing deadlines? Bad stitching? Unpleasant to work with? There's gotta be a reason in there somewhere. Sane people don't just up and walk away from something that they're happy with.

To answer your question, it doesn't really matter where anybody else would be pricewise. Everybody has different pricepoints based on their Revenue/Expenses ratio. What matters is what percentage margin are YOU willing to take to get and keep the job and is it worth it in the long run.

Find your advantage.

We have one 4 head machine.

We have a contract customer that is starting to give us a lot of work, mostly moving from there existing embroiderer to us.

This particular job is for EMT jumpsuit backs. All words. Fill stitch w/satin border around all letters. Just over 50k stitches.

The previous company was charging $12 which is just absolutely insane. We are working on changing to a thinner font utilizing just satin stitches which would get us closer to 20k but so far they are insisting on matching the existing sew outs.

Where would you be for a 50k design, 40 pieces, contract pricing. There is no way we are do it for $480 for 2 full days of sewing :)
 

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Discussion Starter · #6 ·
Yes we have proof.

They know we won't take the job at that stitch count, not even at @ $20, which is why we are trying to adjust the logo size, stitch type, etc to get it way down but the customer really wants to keep it like it is.

Turning down the job doesn't mean we lose the customer. We have a long healthy relationship with them and have for 10 years. This particular job is a new client for them and they are attempting to match their competitor, which we know isn't going to happen without some pretty drastic changes.

They are close friends and long time customers... we don't have a problem doing an occasional order for them for less than we normally would, but we have our limits :)
 

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We would charge $30.00 each at our shop and tell them next time to buy the garments from you (mark them up about 80%) and then give them $5.00 off the price of embroidery. That would be like you buying a steak and taking to a restaurant and have them cook it for you.
 

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Honestly, if it were done at my shop I would attempt to steer them toward doing 3M Reflexite heat applied vinyl or another of the reflective vinyl products. That's more appropriate for the back of a jumpsuit.

If they indeed wanted to stick with embroidery I would do what I could to reduce the stitch count (cadcut applique?).

For true embroidery at 50k stitches per garment we'd charge $25.95

We also don't do scheduled pickup dates for bulk orders unless we absolutely have to. We recently did an order of 100 sweatshirts for a military unit and they picked up their shirts 15-20 at a time over the course of several weeks. That way we can do them on our schedule in between other regular orders.

Ric
 
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